Benefit Payment for 65 Year Olds was introduced in line with the Programme for Government commitment to address the position of people who are required to or choose to retire at age 65 before the pension age of 66. The payment is provided for under the Jobseeker’s Benefit or the Jobseeker’s Benefit (Self-Employed) legislation as appropriate and a person must satisfy the qualifying conditions for these schemes, including the relevant PRSI social insurance requirements, in order to qualify for support.
A key feature of the payment is that recipients do not have to sign on or partake in activation measures or to be available for and genuinely seeking work to avail of it. Unlike other Jobseeker's Benefit customers, who are paid at a graduated rate according to their previous earnings, recipients of this payment are paid at the maximum personal rate of Jobseeker's Benefit. The personal rate has increased from €208 to €220 as part of Budget 2023.
Class S Self-employed contributors pay PRSI on a wide variety of self-employment income. These contributions help to ensure that individuals qualify for social welfare benefits, including pensions. The qualifying conditions for Jobseekers Benefit (Self-Employed) include the requirement that a person has completely ceased self-employment. For that reason, individuals who continue to pay Class S PRSI on a variety of income sources would not satisfy the conditions for Benefit Payment for 65 Year Olds as they are not regarded as having ceased self-employment; they continue to pay Class S PRSI and are to be regarded as being in insurable self-employment.
Regulations have been signed in relation to persons with income from an Approved Retirement Scheme (ARF). The regulations provide that a self-employed contributor in receipt of income solely
from an ARF is treated the same as a person without income from an ARF when it comes to eligibility for Jobseeker's Benefit (Self-Employed). In both cases the loss of employment by a self-employed person founded on the person's PRSI contributions are relevant determining factors.
Where a person does not qualify for Benefit Payment for 65 Year Olds they may be eligible for support under the means-tested Jobseeker's Allowance scheme subject to satisfying the qualifying conditions for that scheme.
I trust this clarifies the position for the Deputy.
